In July 2011, the Institute of Economic and Social
Research (WSI) presented its interim report on collective bargaining. The study
evaluates the collective agreements concluded by trade unions affiliated with
the DGB in the first half of 2011, affecting about 25% of all employees covered
by such agreements. Calculated on an annual basis, the average nominal increase
in wages and salaries will be around 2% in 2011, slightly above the average of
1.7% for 2010. This rise reflects the improvement in the economy. However, as
prices in 2011 seem to be increasing more than predicted, employees in some industries
might not enjoy real wage increases. On the other hand, data provided by the
Federal Statistical Agency indicates that effective gross wages might increase
more than collectively agreed wages. The average increase in eastern German pay
levels is estimated to be about 2.2%, thereby bringing the 2011 increases above
the western German level.